Water Infrastructure and Resiliency Finance Center

DC Water's Environmental Impact Bond

In September 2016, DC Water issued a $25 million Environmental Impact Bond (EIB) to finance the construction of green infrastructure to manage stormwater runoff. EPA’s Water Finance Center developed an in-depth report on DC Water’s EIB to share this innovative “Pay for Success” financing approach with community and utility leaders interested in financing stormwater infrastructure. The EIB is structured to limit financial risk to DC Water if the performance of the green infrastructure is less than anticipated and financially reward investors if the performance exceeds expectations.